Abstract

The advent of technology and rapid globalisation, trade policies are observed time to time due to the continuous uncertainty in world economy. In this manner, this study has focused on the trade openness and economic growth in Vietnam. The aim of this study was to examine how trade openness can impact economic growth in case of Vietnam. Therefore, quantitative analysis is carried out and secondary data was collected for the purpose of investigating the impact of trade openness on the economic growth in Vietnam. The researcher applied the autoregressive distributed lag (ARDL) bound testing model with the help of E-views to determine the impact of trade openness on the economic growth of Vietnam. From the analysis, it can be identified that there is no long term impact of the trade openness on the economic growth of Vietnam. However, the short term impact of the trade openness on the economic growth of Vietnam has been found in this study. The model will be reestimated by changing the data series.

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